He could get 20 years in federal prison when sentenced.
Sentencing is scheduled for November 15th, 2013 in US District Court in Baltimore for a Walkersville man involved in an investment fraud scheme.
Larry Michael Parrish, 49, also known as Michael Parrish, pleaded guilty Tuesday to wire fraud arising from an investment scheme. He could receive the maximum 20 years in federal prison.
The US Attorney's Office for the District of Maryland says Parrish operated IV Capital Ltd., between November, 2005, and October, 2009. During that time, officials say he made a number of representations to potential investors. He said IV Capital traded stocks, bonds, currencies and precious metals. Parrish also said he had $20-million under management, and a staff of traders and other employees, when in fact, Parrish was the only employee.
The US Attorney's Office says Parrish used about $2.938-million out of $9.2-million in investor funds for risky trading activity, unsuccessful investments and options and futures contracts. He also used $5.2-million for "profit" payments to investors and the remainder for his own personal use, including entertainment and vacation expenses, a golf outing for himself and his friends, and the purchase of a 2009 Harley Davidson FXDF motorcycle.
This case was brought forward as part of President Obama's Financial Fraud Enforcement Task Force, which investigates and prosecutes financial crimes, according to the US Attorney's Office.
Parrish will be sentenced in November by US District Judge J. Frederick Motz.